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State Duma initiates law to exempt large families from transport tax

October 16, 2011, 0:25 UTC+3
And to tell the truth, a car in such families is not a luxury, but extreme necessity,” Belyakov said
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MOSCOW, October 16 (Itar-Tass) — A parliamentarian from the Just Russia faction in the State Duma initiated a draft law exempting large families with many children from a transport tax.

Anton Belyakov proposed to submit the relevant amendments to article 358, Part Second of the Tax Code.

The parliamentarian stressed importance of freeing families having three and more children from paying a transport tax for their cars and buses.

“There are around 1 million large families with many children in Russia, more than half of them live below the poverty line. And to tell the truth, a car in such families is not a luxury, but extreme necessity,” he said.

According to the parliamentarian’s calculations, the adoption of a draft law will bring no additional expenditures for the federal budget, but will lower contributions to the regional budgets.

Less than half of the registered large families have motor vehicles, mainly small cars with less than 100 hp engines.

“For instance, there are 70,000 such families in Moscow, while the average transport tax totals 4,050 roubles (one dollar is equal to approximately 31 roubles) a year,” the parliamentarian said.

According to his estimates, the capital’s tax revenues will reduce by 94 million roubles a year, while the revenues of every large family will in fact grow by 4,000 roubles a year.

“Taking into account the fact that the state support for such families is too low, exemption from a transport tax will become an additional measure to reduce financial burden on large families with many children,” Belyakov said.

 

 

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